Why in the News?

Reliance General Insurance Company (RGIC), a subsidiary of the Anil Ambani-led Reliance Capital, has received multiple show-cause notices worth Rs 922.58 crore from the Directorate General of GST Intelligence (DGGI).

About Directorate General of GST Intelligence (DGGI):

• Formerly known as the Directorate General of Central Excise Intelligence (DGCEI), the Directorate General of GST Intelligence (DGGI) stands as a premier intelligence organization operating under the Central Board of Indirect Taxes & Customs, within the Department of Revenue, Ministry of Finance.
• Its primary focus is on collecting, collating, and disseminating intelligence pertaining to Goods and Services Tax (GST) evasion and duties related to Central Excise and Service Tax on a pan-India basis.
• Evolution: Originally designated as the Directorate General of Anti-Evasion (DGAE), it was established in 1979 as an independent wing under the Directorate of Revenue Intelligence, New Delhi.
• Became a full-fledged Directorate in 1983, headed by a Director.
• In 1988, attained the status of Directorate General under a Director General.
• Currently comprises 04 offices of the Director General (East, West, North, and South), 26 Zonal Units, and 40 Regional Units.

Key Responsibilities:

• Intelligence Gathering: Collects information from various sources, including GST returns, financial statements, and other documents, to identify potential GST law violations.
• Investigation: Empowered to conduct investigations into suspected cases of GST evasion or non-compliance, involving summoning individuals, examining records, and executing searches and seizures.
• Enforcement: Enforces provisions of the GST law, taking legal action against offenders, imposing penalties, and recovering taxes or duties owed.
• Additional Functions: Collaborates with agencies like the Central Board of Indirect Taxes and Customs (CBIC) and State GST authorities for effective GST law implementation.
• Plays a crucial role in raising awareness about GST compliance and educating taxpayers on their legal obligations.
• Provides technical and legal assistance to field officers and other government entities involved in GST administration.